Govt’s domestic borrowing crowding local businesses- HH

UPND President Hakainde Hichilema says the Patriotic Front Government’s continued domestic borrowing is crowding out local businesses by driving up interest rates for loans.

Hakainde Hichilema

Mr. Hichilema says while President Edgar Lungu’s acknowledgment of the importance of increasing access to banking services for stimulating business activity and development is welcome, the President must recognize that his government’s actions have had a strongly negative impact on the ability of Zambian Small and Medium-sized Enterprises to access these services and unlock the benefits.

He says SMEs should be considered the lifeblood of the economy and are critical in generating enough jobs to ensure growth that delivered benefits for the many and not just the few.

Mr. Hichilema has called on government to support local business at this challenging time by cutting red tape, cutting waste and re-establishing confidence in the economy.

He notes the need to support local businesses to grow and become competitive, stating that this is the best way to not only grow the economy, but to do so in a way that has a wide-reaching benefit.